Author: Sachin Gupta
PREVIOUS MWPL %
STOCKS
CURRENT MWPL %
88.09
87.00
93.82
92.80
85.51
84.68
85.64
86.68
95.15
93.62
92.56
84.74
104.59
91.32
99.50
91.85
97.02
94.97
94.22
106.48
PREVIOUS MWPL %
STOCKS
CURRENT MWPL %
85.01
84.68
86.41
87.05
74.99
85.64
87.59
86.40
83.94
83.41
82.47
82.47
89.94
91.48
84.60
84.42
81.96
80.38
87.90
82.00
PREVIOUS MWPL %
STOCKS
CURRENT MWPL %
82.84
83.66
84.32
82.38
85.51
84.68
92.56
84.74
The goal of the stock ban in F&O is to curb excessive speculation. When a stock's total open interest exceeds 95% of the market-wide position limit (MWPL), the stock exchange imposes an F&O ban. Traders are not allowed to open new positions in the stock that is subject to the F&O Ban during this time. But by squaring off positions, they can decrease their stake in that stock.
There is a chance that a stock may soon be added to the ban list if its MWPL is greater than 80%. A stock has a chance of leaving the ban list in the near future if its MWPL begins to fall below 95% while it is on the list.